Aviation Week & Space Technology

By ROBERT WALLBy DAVID A. FULGHUM
The Pentagon's decision to kill the Area-Wide ballistic missile defense program opens the door for competitors to propose a new approach to enable the Navy to eventually field a point-defense missile shield. The program cancellation is good news for other Pentagon projects that stand to receive some of Area Wide's money. High on the list is the Airborne Laser project, which is slated to get about $70 million this year alone. Another beneficiary would be Aegis radar improvements that aren't related to ballistic missile defense.

EDITED BY PATRICIA J. PARMALEE
Streamlining of Air Force headquarters--which starts immediately--is designed to eliminate duplication, speed decision making and improve business processes, says Air Force Secretary James Roche. He put a finer point on the effort by noting a focus on improving ``global reconnaissance and strike capabilities.'' A major change will be the establishment of a new deputy chief of staff for warfighting integration, a post that will highlight the growing importance of intelligence, surveillance and reconnaissance (ISR), especially as related to the war on terrorism.

EDITED BY EDWARD H. PHILLIPS
Officials of troubled French independent airline Air Lib are contemplating a last-ditch attempt to halt massive revenue losses: turning the airline into a U.K.-inspired low-cost carrier. Deregulation in the European Union already has generated no-frills airlines in the U.K. and Ireland, but the concept has not found acceptance in France and Western Europe. Air Lib's executives plan to court potential investors and convince bankrupt Swissair Group (its previous owner) to pay up to $500 million associated with an earlier withdrawal arrangement and alleged damages.

Staff
Sean Patty has been appointed president/CEO of Cernium Inc. of St. Louis. He was a senior manager with the Angel Technologies Corp.

Staff
The Starshine 2 satellite launched from the shuttle orbiter Endeavour Dec. 16 is being visually tracked by thousands of students around the world in a major educational program to measure atmospheric density. The 86-lb. spacecraft is covered with nearly 900 mirrors that will produce bright flashes visible on Earth during sunrise and sunset. When deployed from a Hitchhiker canister over the South Pacific, a nitrogen tank inside the sphere fired to rotate the spacecraft at 5 deg. per sec. to establish precise flash rate.

By PAUL MANN
Congress has decisively approved a $317.47-billion defense appropriations bill for the fiscal year that began Oct. 1, including a last-minute boost to long-range airlift. With the war on terrorism spotlighting the Pentagon's chronic shortage of intercontinental transport capacity, lawmakers gave the Air Force permission to lease 107 new Boeing 767s and four 737s for 10 years, at an estimated cost of $20 billion over the decade.

Staff
Yves de la Serre has been named chairman/CEO of Europe Star, a London-based joint subsidiary of Loral Space&Communications and Alcatel Space. He succeeds Alain Roger, who has retired.

By Jens Flottau
After months of uncertainty, European nations have given a conditional green light to a huge joint tactical airlifter purchase and endorsed further consolidation of Europe's missile sector. Eight countries last week inked an agreement authorizing the acquisition of 196 A400M transports from Airbus Military Co. (AMC), ending rancorous debate within the governments of two of the nine original partners--Germany and Italy--about whether to fully honor initial commitments to the program.

Staff
Glen Golden has been named executive vice president/chief operating officer of the Distribution Div. of Aerospace Products International, Memphis, Tenn. Other recent appointments in that diviaion are: Don Cox, vice president-sales, Lisa Spillars vice president-customer service/general manager of API Technologies and Jim Etter vice president-fulfillment services. Mark Luetkemeyer has become vice president-information technology and Marty Klauss director of logistics programs in the Logistics Div.

EDITED BY EDWARD H. PHILLIPS
The number and severity of security breaches at U.S. airports is decreasing. Ross Hamory, director of the FAA's Office of Civil Aviation Security, told the agency's Security Advisory Committee last week that unplugged metal detectors, exit lane breaches and untrained screeners were largely to blame for the evacuation of 26 airport terminals or concourses since Oct. 30. These events caused the delay of more than 1,100 flights and another 408 were canceled.

Staff
Jeff Misner has been named chief financial officer of Continental Airlines. He was senior vice president-finance.

Staff
As he presented details last week of the Dec. 13 attack on the Indian Parliament, Indian Home Minister L.K. Advani characterized it as an attack aimed at destroying India's leadership and vowing that it will be avenged. His statements were taken as a virtual declaration of war. As he spoke, troops from India and Pakistan were massing on the disputed Jammu and Kashmir border between the two countries.

Staff
European Transport Commissioner Loyola de Palacio has accused the U.S. of trying to pressure European Union governments into abandoning the troubled Galileo satellite navigation project. De Palacio said U.S. Deputy Defense Secretary Paul Wolfowitz wrote to EU defense ministers saying Galileo would complicate the U.S.' ability to provide GPS services in times of crisis, and to deny them to adversaries. French defense ministry spokesman Jean-Francois Bureau confirmed that such a letter had been sent.

Staff
UAL Corp. subsidiary Avolar has ordered 67 Gulfstream 200 business jets under a contract valued at up to $2 billion, including a long-term maintenance agreement, valued up to $2 billion. Deliveries will begin in 2002 and extend through 2007.

Staff
Emanuel Shaham has been named manager of the Chicago office of El Al Israel Airlines.

Staff
Northrop Grumman has conducted the first engine runs of its Pegasus unmanned combat aircraft demonstrator. The aircraft's software is 90% built and 50% tested, with failure mode evaluation next on tap. Meanwhile, surrogate tests in a manned testbed are being conducted at the U.S. Navy's China Lake, Calif., facility. Officials also are testing the aircraft's shipboard relative GPS system for simulated carrier landings at China Lake. If the landing dispersion pattern is tight, the test program will consist of 30-50 landings. The UCAV itself is expected to fly by spring.

By DAVID A. FULGHUMBy ROBERT WALLBy DAVID M. NORTH
For the U.S. Navy's top requirement official, the Afghan conflict has highlighted a clear need to put more money into improved communications links, better surveillance and reconnaissance sensors and long-endurance unmanned aircraft.

Staff
Boeing Co. expects to lay off 25,000-30,000 employees in its commercial aircraft segment by the middle of next year, or about 25% more than it previously thought, according to Alan Mulally, the head of Boeing Commercial Airplane Group. Senior management said the sharp decline in new aircraft production, to 24 a month from 48, will prompt the huge reduction in force.

By ANTHONY L. VELOCCI, JR.
S&P 500 AEROSPACE/DEFENSE INDEX S&P 500 Aerospace/Defense 1098.49 1068.67 16.4 13.3 -21.4 -21.4% S&P 500 Airlines 517.62 486.68 -1522.4 -26.7 -30.2 -30.2% S&P 500 Index 1170.35 1128.52 31.8 21.6 -11.4 -11.4%

MICHAEL A. TAVERNA
A renewed show of government support and a commitment to further industry restructuring stand to make Europe a tougher competitor for U.S. contractors, provided that these gains do not unravel in the face of differing national political agendas.

Staff
Jon Tennyson (see photo) has been appointed vice president/chief development officer for the Experimental Aircraft Assn. Aviation Foundation, Oshkosh, Wis. He was vice president-corporate sponsorship and television. Scott Guyette has been promoted to executive producer from managing producer and Wendy Stoneman to director of sponsorship from sponsorship manager, both for EAA Television.

EDITED BY PATRICIA J. PARMALEE
French and Italian land forces have test fired a modified Hawk PIP III air-defense missile battery. It features an advanced open-architecture, Ada-language fire control center--developed by Alenia Marconi Systems with Raytheon and Thales--designed for enhanced man-machine interface and operational flexibility. It will allow Hawk units to receive early warning data, share data with adjacent batteries and control Shorad and VShorad units while directing their own fire.

EDITED BY JAMES R. ASKER
The no-fly zone over Washington for general aviation has developed some tiny chinks. After thousands of waiver requests, the FAA has approved at least two--one from a traffic reporter based 10 mi. south of the city, the other for a pilot seeking instrument instruction in his plane based at the College Park (Md.) Airport, 7.2 mi. east of the Capitol. The process seems ad hoc, however. Paperwork may be more important than substance. The College Park pilot, Kurt Schneckenburger, sent his self-prepared application to the FAA on Nov. 26, received an approval Nov.

EDWARD H. PHILLIPS
Deliveries of new business jets this year should meet projections but sales of piston-powered general aviation aircraft and turboprops continue to lag as demand weakens in the wake of terrorist attacks and a sluggish U.S. economy.

Staff
South Korea complies with International Civil Aviation Organization safety standards and has been upgraded in the U.S. from Category 2 to Cat. 1, the FAA said Dec. 6. Airlines from Cat. 2 nations serving U.S. points draw intensified surveillance from the FAA and are not allowed to increase service except through wet-leasing. Asiana Airlines and Korean Air felt they suffered decreased passenger bookings during the time South Korea was rated Cat. 2.